If a resident of Minnesota earns more than a specific amount or has additional sources of income, such as rental property or self-employment income, they must file state taxes. Single taxpayers in Minnesota who have a gross income of $12,400 or more are required to submit a tax return for the 2020 tax year. If a married couple’s gross income is $24,800 or more, they must submit a combined tax return. The Minnesota Department of Revenue offers a questionnaire on their website that might assist you establish your filing needs if you’re not sure if you need to file or not.
In addition, if you had Minnesota income tax deducted from your paychecks during the year or if you owe use tax or other taxes, you may still need to file a Minnesota tax return even if you don’t exceed the income requirements. People who make online purchases from out-of-state merchants who do not charge Minnesota sales tax frequently owe use tax, which is a tax on products and services purchased outside of Minnesota for use inside the state.
The same as federal tax returns, Minnesota state tax returns are due on April 15th. You can ask for an extension to file your return by October 15th if you are unable to do so by this deadline. But keep in mind that a return filing extension does not mean you have more time to pay any taxes you owe. To avoid fines and interest, you must still pay your taxes by the April 15th deadline.
Regarding quarterly taxes, these are often paid by those who receive self-employment or other types of income that are not subject to withholding. The quarterly anticipated tax payment due dates have not been extended or altered as of 2021. The following year’s April 15, June 15, September 15, and January 15 deadlines apply to these payments. The due date is normally the following business day if any of these dates fall on a weekend or holiday.
Finally, you must additionally gather and send sales tax on taxable transactions if you own a business in Minnesota. Simply multiply a price by the sales tax rate in decimal form to include sales tax. To determine the amount of sales tax owing, for instance, you would multiply the price by 0.06875 if the applicable sales tax rate was 6.875%. The total payment owed will then be determined by adding this sum to the price. The Minnesota Department of Revenue website has the latest recent rates and instructions; keep in mind that sales tax rates can vary by jurisdiction.
In order to avoid penalties and interest, it is crucial for Minnesota residents to be aware of their state tax filing requirements and deadlines. Consult the Minnesota Department of Revenue website or talk to a tax expert if you’re not sure whether you need to file. Additionally, be sure to consult the Department of Revenue website for assistance if you have any issues about sales tax.
In Minnesota, taxes do indeed have a deadline. In Minnesota, state taxes are normally due on April 15th, which coincides with the federal tax filing deadline. The deadline for reporting and paying the Minnesota individual income tax for the 2020 tax year has been extended to May 17, 2021 as a result of COVID-19. It’s crucial to keep in mind that if you owe taxes and file after the deadline, you can be charged penalties and interest.